How to travel on a budget

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0:07Hey everybody, it's Marielle. In 2018, I went to Greece for two weeks. I remember the trip vividly. The beginning was like a dream. We did a food tour in Athens, stayed on a gorgeous small island with crystal blue water and no cars. We went running by the beach, watched the sun set. But we reached a point, about 10 days in, when things took a turn. Our string of beautiful weather ended. Now there was torrential rain every day. And our last stop was kind of a dud. We hadn't done enough research on the area and there wasn't much to do. Also, I started having some digestive issues. So I just remember being stuck in the hotel room, watching American political news on TV with an upset stomach, wishing I was home.

0:51And we still had four days to go. Changing our flights at that point would have just been too expensive. It was like we'd overstayed and overspent by half a week. Nishan Lanada is a financial advisor at Kraft Wealth Services. And honestly, the worst feeling is going on a trip feeling completely dissatisfied or that you didn't hit the mark on what you wanted or that you overspent. Or both. And what I learned from that trip in Greece was, first of all, two weeks, usually too long for me to be hopping around from one international city to another. Also, spending more time in a place and more money on the trip doesn't necessarily add up to a better experience.

1:33The truth is you can have fulfilling, restorative, life-changing travels without draining your bank account. Though your trip might not look exactly like the photos you've seen on social media. Comparison is the thief of joy. So get off of social media and stop following travel bloggers that don't pay for their own stuff. Because that's a real trap. That's Chrissy Whalen. She and her teenage son, Zephyr, have been traveling the world since 2019. They've traveled to 40 countries, including Argentina, Norway, Singapore, Morocco, Vietnam, France. And they do it on a budget, spending maybe$60 to$80 a night on hotels and$20 a day on food in expensive cities like London.

2:14Chrissy does have an Instagram account called Single Mom Budget Travel. But she travels without the help of sponsors and pays for everything. Flights, food, hotels, all of it. She says social media can be part of the problem. And it's one reason we end up overspending on trips. We do, especially with social media, have champagne dreams and beer budgets. And I'm just like, first of all, we're going to come back to planet Earth. And then we can explore the Earth in a way that works for us and is realistic. On this episode of Life Kit, how to travel on a budget. Journalist Amelia Edelman, who's a longtime budget traveler herself, talks to Chrissy, Nishan, and another expert and brings you their best tips.

2:59So what's the secret to budget travel while adulting, exploring, and still having a relaxing or even somewhat luxurious vacation? Let's start with something fundamental. Deciding what kind of trip you want to take and why. That's takeaway number one. Define the purpose of your trip to guide your spending. Why is this such an important first step when traveling on a budget? Because to clearly curtail your spending, you need to get clear on why you're traveling in the first place. When you plan a trip, it's important to define the purpose of your trip and what matters most to you. That's Nishan.

3:36She says defining your trip is all about planning and prioritizing. Is the trip's main purpose exploration, learning, family connection, relaxation, or something else entirely? You can start to apply a proper budget to those different items based off of, I know what the purpose of this time is, this vacation, this trip, this exploration, and then being able to adjust from there. When you have that purpose, it really helps clear up your priorities pretty quickly. So if you're adventure or activity oriented, then you're probably going to save more money on your accommodations by choosing a budget friendly option to be able to allocate even more towards expenses or even food.

4:20But if your trip is more about relaxation, maybe you'd spend a bit more on staying in a nicer place, but look for deals or discounts on flights to balance that out. Or if your goal is to immerse yourself in local culture, like Chrissy Whelan's and her sons is, you might prioritize affordable accommodations or focus more on free or low-cost activities, like visiting museums, hiking, or checking out local events. Chrissy says many of these are totally free. I can't think of a better thing to do for carnival season than to go to Viareggio in Tuscany and go on the beach. And it's the biggest carnival in all of Europe with the most amazing floats.

4:56The entire town of Villaregio is dedicated to making floats, and it is like one of the best free experiences I've ever had. Another purpose-oriented tip, during your trip planning, once you've decided on the vibe you're looking for, can you find a destination dupe that's more affordable? Destination dupes or duplicates are about finding a cheaper lookalike for a dream destination. One of my dupe recommendations for U.S. travelers, for example, is Quebec. If you're francophile but can't afford a transatlantic trip to ever expensive Paris, try a shorter flight or a road trip from the U.S. Northeast to Montreal or Quebec City for culture and crêpes and to pratiquer votre français.

5:38Another dupe that I like is the Finger Lakes region in New York. That's travel writer Brittany Oliver. She says the Finger Lakes are a great alternative for a trip that will set you back a fraction of the price of one in Tuscany or Napa. So if you can't make it out west and you're looking for like a wine experience, that area is really nice, really cute. Airbnbs, bed and breakfasts that you can stay at and really affordable wine trails. Yeah, that's a great. And you can also like go skiing around there and be like, it's basically the Alps. It's upstate New York. It's fine. Defining your trip's purpose early on in your planning process will help determine whether there's a destination dupe out there that might serve you better for cheaper.

6:25That purpose will also help guide and stem your spending once you're on the trip. But planning ahead isn't just a mental exercise when it comes to traveling on a budget. You also need to physically start saving your trip funds. The earlier, the better. That's takeaway number two. Save ahead and save more than you think you'll need. Start saving at least six months before a trip if possible. Nishan says this gives you plenty of time to set a realistic budget and to build up a travel emergency fund. I often work with folks to set up a dedicated travel fund and contribute to it consistently, even if it's a small amount each month.

6:58So it can be a revolving travel fund. Say, you know you're going to take five trips every year, or you know you spend at least$6 ,000 every year. Well, we know if we're spending$6 ,000 every year, we probably need to save at least$500 a month. Even before you save, you've got to know your numbers. Sit down and track your spending over the next few months. Where can you cut back? Maybe you stop eating out so much or you cancel that subscription service you don't use anymore. These small changes add up. Chrissy says you should decide. What is it that you totally need versus what you want? And if the travel thing is what you want more, you will make concessions.

7:39But it's not just about saving enough for your trip. Nishan says you should also build in a financial cushion for any emergencies, whether that's unexpected medical expenses or an extra night at a hotel after a canceled flight. When you plan for the unexpected, you have the ability to kind of take the pressure off of yourself. So the most obvious approach for managing those unexpected costs or emergencies is to build up a contingency fund, and that's usually around like maybe 10 to 20 percent of your total. There are also travel grants available from nonprofits that you can use to augment your savings.

8:17Worldstries and Travel Niche offer grants for families and Wish of a Lifetime offers them for folks who are 65 and older in the U.S., for example. Chrissy recommends giving these a shot. And maybe you're only going to get 500 bucks, but man, the thing you could do with$500 is something. You know what I mean? That's a whole week of accommodations somewhere. As for accommodations, where you stay can eat up a lot of your budget. So where are you going to stay? Takeaway number three, be creative and flexible with where you stay and when you go. A little outside the box thinking will save you serious travel cash.

8:51Flexibility is everything when it comes to flight booking. First off, use flight comparison tools. They allow you to track prices over time so you can look for deals and book when prices dip. The two tools that I use are Google Flight Alerts, as well as this third-party app called Hopper. Chrissy also uses a lot of these different tools. And I like Skyscanner app to set alerts for things that I'm, you know, I always say three to six months in advance, you should really start thinking. And then setting a travel alert for the places that you really, really want to go. And then subscription services like what used to be called Scott's Cheap Flights, which is now Going, and Matt's Flights.

9:29Those are really good because you can get free subscriptions and they just throw stuff at you. And you're like, hey, oh my God,$500 flights to Paris in February? Like, I'm in. Booking aside, be flexible with your travel dates. You'll save a ton of money if you can be a little bit less precious about your travel timing. If you want to travel, A, and have a better time, first and foremost. But if you want it to be cheaper, you've got to do off-peak. I experienced this firsthand when I brought my entire family to Santorini in January and February. It's no small trip, four flights just to get from our hometown of Nashville to the Greek island, but because we went during the low season, it was just$500 per person round trip.

10:08Accommodation prices were also super low, and the gorgeous island was much quieter. Also, avoid flying on Sundays and Mondays, which tend to be the most expensive due to weekend trips and business travelers. As for accommodations, don't make any assumptions about what you think might be cheapest without doing your research. Travelers often assume that a vacation rental like Airbnb or VRBO will be cheaper than a hotel, but Chrissy says that's certainly not always the case. The fees are insane. It used to be like 2008, RIP 2008 Airbnbs. That was always the cheapest option, right? Meanwhile, plenty of discount hotels are cheap and clean and even have some amenities that might save you money elsewhere.

10:48So many people rent Airbnbs because they're like, I want to buy food. And I'm like, hey, man, you know that the Ibis Hotel has a microwave and a mini fridge? in the room. And while you may think of hostels as crowded spots filled with college-age backpackers, a little creative research will help you find the ones that are anything but. Don't skip on checking out family hostels. They are not like the hostels from your 18-year-old youth. They're really, yeah, they're really amazing and clean and safe. And I'll tell you, I've never felt safer as a single mom. And I love a family hostel. I've done them in Spain and Germany and Finland and Norway, and I have never regretted it.

11:27But there's a fine line between deals and discomforts. One thing you should never compromise on to save a few bucks, your own safety and peace of mind. Here's Brittany. And so for me, like the hostel, I don't think I'll ever do that. Just for me, because I wouldn't feel safe. Brittany also takes care not just with accommodations, but where she decides to travel. That is so important because as a Black woman, there's a lot of places that haven't really seen a lot of Black people. And so we're just rare, unique when we go in those spaces. And that can cause safety risks. A lot of places also have biases, right?

12:11That poses safety risk. Brittany does a lot of solo travel and relies on the usually cost-free online travel communities and affinity groups where she can connect with other travelers of color. Groups like this also exist for LGBTQ travelers, disabled travelers, and more. And if you'd feel more comfortable traveling in a group, Brittany recommends doing group travel with companies like Travel Noir. Plus, planning and communication are free. Just let people know where you are and then think about if you want to go solo, So think about places that are recommended. Other non-hostile ways to stay in top recommended destinations for cheap are house sitting, pet sitting and house swaps.

12:53With sitting, you stay in someone's home for free while they're away in exchange for providing pet and plant care and the like. With swapping, you go full on the holiday and exchange homes with someone. Here's Chrissy. I know that trusted house sitters and trusted pet sitters is a fantastic way to do a trip for very cheap or almost free. Like you can do a home swap or you can do house sitting or pet sitting and literally cover your accommodations. I've done all of these before myself using the sites Chrissy mentions as well as the sites Kid & Co. and Home Exchange. range. Membership to each site costs in the$100 to$200 per year range, and you build a profile, browse around the listings, and apply for a sit or swap somewhere you like.

13:35Then the homeowners can review your application and reach out to you if you feel like a fit. It's a lot like online dating, but for houses and dogs. Another great approach Brittany recommends to finding free accommodations is actually taking friends and family up on offers of, hey, come visit anytime. The guest room is open. A lot of us have, you know, friends who take jobs abroad or just happen to move abroad. And when they're like, come visit, do it. If you're comfortable staying at their house, using the couch, using their spare bedroom and being able to travel and do the things that you want to do.

14:12And once you're there, getting creative and not being married to the major sites and Michelin star restaurants can help you save on food, activities and more. I also suggest people going off the beaten path, right? So a lot of times we tend to go to like the popular city centers, right? A Times Square or Hollywood in LA or, you know, that's where you're going to spend all your money, right? But when you go to the neighborhoods, the outliers, that's where you can find really great cheap eats and really fun, free activities. So take the train out to the banlieue, the suburbs of Paris, or ride the one train in New York to the very last stop where I grew up in the Bronx and walk around and get such great affordable food from so many cultures.

15:00And that's true of many cities. The outskirts is where a lot of food cultures really thrive. So saving, purposeful planning, and creative brainstorming are all well and good. But then how are you actually paying for these deals in a way that makes sense for your budget? Takeaway number four, be smart about credit versus cash. There are ways you can maximize both to benefit your budget. If you're a frequent traveler, don't overlook credit card points as the potential to pay your way, or at least part of it. Brittany uses her credit card for large purchases pre-travel, particularly items that earn the most points like entertainment and dining out.

15:35Before you even start your trip, just to see what kind of points it will take to get to this type of hotel. But it's also important to keep your spending aligned with your goals. If you're going to earn points, make sure you're using them strategically, like booking flights during off-peak times or for longer haul trips where points stretch further. Don't waste points on something that could be cheaper out of pocket. Also, be aware of annual fees with some travel credit cards. Sometimes the fee outweighs the benefits, unless you're really maximizing the card's perks. Brittany also says that if you or your partner or another travel pal have corporate benefits that allow travel discounts on certain hotels, that's a smart way to steer your spending without involving credit.

16:19Using cash, on the other hand, can be an excellent way to physically limit your budget. When it runs out, it's out. Of course, stay smart about carrying cash when you travel. Keep most in your hotel safe and batch out what you need for your day in a money belt or front-facing fanny pack. Brittany started traveling with cash only for food, inspired by one of her friends who did the same. She came to New York and she brought cash. And she was like, this is all I'm spending on food. That's why I have the cash. And I have to make this work. And that was how she budgeted. Because when you have your card, you just swipe.

16:55You just swipe, you swipe, you swipe. After all, credit cards can be great because points. But they can also set you up for budgeting failure by making you blissfully unaware of how much you've actually spent. So stay aware of what you tend to spend on and maybe delegate a limited cash fund for your most frequent culprits, whether that's food or souvenirs or the spa. And be honest with yourself and any travel companions about how much things are actually costing. That's takeaway number five. Have open budget conversations with all your travel partners, including kids, and with yourself. Nishan recommends certain apps to help you track your spending and stick to your budget both before and during your trip to keep yourself accountable.

17:37It can allow you to log and track expenses in your budget in real time, but you could also use split expense apps like Splitwise if you're traveling with others. Sometimes, though, the very best hacks are the analog ones. Writing in a money planner would be helpful, or even just having, if you're a tactile learner and you need something tangible, writing everything down. A little old school, but it works, and it actually holds me accountable, and I actually feel like I can do some reflection when I'm writing things down. Open conversations about budget have multiple purposes here. If you're traveling with kids, talking honestly about the costs of travel and involving them in planning teaches them valuable financial lessons.

18:22Research shows that talking to kids openly about money, in an age-appropriate way, of course, is associated with positive financial outcomes for them later in life. I feel in the world where it's give me, give me, give me, I need, I need, I need, particularly with kids. It's kind of cool to be like, well, what do you really need and what do you really want and how can we work together to earn that? Involving kids in travel budgeting starts by not just giving the kid a task, but giving them a responsibility. That's how Chrissy does it with her teen son, Zephyr. Zephyr knows what we have to spend.

18:51He is a part of the budget and the planning and the spreadsheets from the jump. Of course, for younger kids, maybe it's just about giving them a small souvenir allowance and letting them choose how to spend it. Meanwhile, if you're traveling with a partner, friend, or any other adults, the recommendation remains, discuss your budget openly and honestly, says Nishan. At the end of the day, you're taking a trip with somebody that at least you like, know, and trust to some degree, right? So if you're going to have a relationship with this person or this other party, then communication is really essential.

19:24And it's important to communicate, okay, what is my purpose for this trip? What's your purpose for this trip? to be able to set expectations and priorities up front. So to recap, here are our five takeaways for how to travel on a budget. Takeaway number one is to define the purpose of your trip and let that guide where you spend and where you don't. Takeaway number two is to save in advance and save more than you think you need. Takeaway number three is to be flexible and get creative when it comes to flight timing, accommodations, activities, and all the rest. Takeaway number four is to use both credit and cash smartly.

20:03Takeaway number five is to have open, honest budget conversations with any travel companions, including kids. With a little saving, creativity, and purpose-oriented planning, you're ready to make your travel dreams happen without breaking the bank. And remember, budget travel doesn't mean not spending your money. It's about doing a little extra prep up front so that you spend it intentionally and get the best bang for your buck. Not just being like, cool, my dream trip is Paris. I'm going to put it on the credit card and then I'm going to figure it out. You know, like, because then you're paying interest and you're losing money long term.

20:37Like, do it the Brittany Oliver way. Start now. Not the 22-year-old Amelia way. Don't do that. That was reporter Amelia Edelman. For more Life Kit, check out our other episodes. There's one on how to pack for a trip and another on how to deal with travel frustration. You can find those at npr.org slash life kit. And if you love life kit and want even more, subscribe to our newsletter at npr.org slash life kit newsletter. This episode of life kit was written and reported by Amelia Edelman. It was produced by Claire Marie Schneider. Our visuals editor is Beck Harlan and our digital editor is Malika Grebe.

21:16Megan Cain is our supervising editor and Beth Donovan is our executive producer. Our production team also includes Andy Tegel, Margaret Serino, and Sylvie Douglas. Engineering support comes from Neil Tivolt. I'm Mariel Segarra. Thanks for listening.